Liberty Media's Motorsport Empire: Why MotoGP Outpaces Formula 1 in Revenue Scalability

The acquisition of Dorna Sports and MotoGP by Liberty Media in 2025 for €4.2 billion marked a pivotal moment in the motorsport industry, consolidating the company's dominance under a single corporate umbrella. While Formula 1 has long been the jewel in Liberty's crown, recent analysis from TD Cowen suggests that MotoGP, now under the same stewardship, is poised to outperform its sibling in revenue scalability—a compelling insight for investors navigating the evolving sports media landscapeTD Cowen sees faster revenue ramp for Liberty’s MotoGP than Formula 1^[1].

The Structural Maturity of MotoGP: A Faster Monetization Path

TD Cowen's analysts argue that MotoGP's commercial infrastructure is more mature than Formula 1 was at the time of its 2017 acquisition. This maturity is evident in the sport's promoter renewals, which are delivering 15–20% fee uplifts with 2–3% annual escalatorsLiberty Media Corporation Reports Second Quarter 2025 Financial^[2]. By contrast, Formula 1's early years under Liberty required significant overhauls to its digital and commercial frameworks. For MotoGP, the foundation is already in place: a robust media rights model (45% of revenue), a diversified sponsorship base, and a digital ecosystem that includes a stable OTT platformMotoGP 2024: What F1 owner Liberty Media takeover of MotoGP means^[3].

Media rights for MotoGP remain stable, but the real growth engine lies in sponsorships and promoter contracts. Global consumer brands are increasingly viewing MotoGP as a high-impact platform, a trend mirrored in Formula 1's sponsorship success. However, MotoGP's lower saturation in traditional sponsor categories allows for faster monetization. As TD Cowen notes, “The upside is in expanding beyond traditional partners to global brands, which is a structural advantage over Formula 1's more mature sponsorship ecosystem”TD Cowen sees faster revenue ramp for Liberty’s MotoGP than^[4].

Formula 1's Proven Scalability: A Benchmark for Growth

Formula 1's media rights revenue has grown from $670 million in 2020 to $936 million in 2022, driven by the launch of F1 TV and the Netflix docuseries Drive to Survive. By Q2 2025, the Formula One Group reported $1.226 billion in revenue, a 41% year-over-year increaseLiberty Media Corporation Reports Fourth Quarter and Year^[5]. The U.S. market, now a cornerstone of F1's growth, is set to see media rights deals escalate from $90 million annually with ESPN to $150–180 million post-2025Formula 1 is reportedly seeking $150 million-$180^[6].

However, this growth is increasingly constrained by market saturation. F1's premium positioning, while lucrative, limits its accessibility compared to MotoGP. The latter's family-friendly pricing, regional race clustering, and lower entry barriers position it to capture a broader demographic. Liberty's six-part blueprint for MotoGP—focusing on U.S. expansion, digital rebranding, and OTT innovation—mirrors the strategies that transformed F1 but with a sharper focus on scalabilityLiberty Media’s six part blueprint to ‘accelerate MotoGP growth’^[7].

Strategic Synergies and Execution Risks

Liberty's dual ownership of F1 and MotoGP creates opportunities for cross-pollination. For instance, the Formula One Group's digital infrastructure and AWS-powered analytics could enhance MotoGP's fan engagement. Yet, MotoGP's unique identity—rooted in grassroots motorsport culture—must be preserved to avoid diluting its appealF1 and MotoGP double header? Update given after^[8].

The U.S. market is a critical battleground. While F1's Las Vegas Grand Prix and Netflix-driven fandom have cracked the door, MotoGP's shift from NBC to WBD (with TruTV broadcasting live races) and potential Fox Sports partnerships aim to replicate this success. TD Cowen's 25x multiple on F1's FY26 adjusted OIBDA versus 20x for MotoGP reflects confidence in F1's long-term value but acknowledges MotoGP's faster near-term growth trajectoryEarnings call transcript: Liberty Media Q2 2025 highlights MotoGP^[9].

The Investment Case: Positioning for the Faster-Growing Asset

For investors, the calculus is clear: MotoGP's structural maturity and strategic agility under Liberty Media offer a faster path to revenue growth than Formula 1's more saturated model. TD Cowen's price target for Liberty Formula One (FWONA) at $105 reflects optimism but pales against the projected 3–4x leverage for MotoGP by 2026MotoGP still searching for U.S. breakthrough amid^[10]. The sport's ability to monetize promoter renewals, expand sponsorships, and leverage digital tools positions it as a high-conviction play in the sports media rights space.

That said, risks remain. Overexpansion of the MotoGP calendar could lead to audience fatigue, and the U.S. market's receptiveness to motorcycle racing is unproven compared to F1's car-centric appeal. Yet, given Liberty's track record and MotoGP's unique advantages, these challenges seem surmountable.

In the end, the motorsport world is no longer just about speed—it's about monetizing velocity. And in this race, MotoGP is pulling ahead.